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Hulthén, Hana; Näslund, Dag; Norrman, Andreas
2016 International Journal of Physical Distribution & Logistics Management
doi: 10.1108/IJPDLM-05-2016-0139
PurposeThe purpose of this paper is to develop a framework for measuring the S&OP process performance.Design/methodology/approachThe method used is a multiple case study of five companies from different industries based on data from 12 structured interviews.FindingsThe main result is a framework to measure the S&OP process. It includes concrete suggestions for organizations when developing measures to increase effectiveness and efficiency of the process. It will also help organizations to standardize measures and to enhance organizational transparency. Our results include measures for every step of the process as well as for the outcome of the process. The authors highlight the importance of cross-functional measures along with measures that focus on how to conduct the process. The framework is founded on a set of criteria on appropriate measures such as comprehensiveness, internal process efficiency, horizontal and vertical integration, internal comparability, and usefulness. The study contributes to performance measurement literature and the S&OP literature.Research limitations/ implicationsValidation of the framework is desirable in similar as well as other contexts. Implementation challenges should also be investigated.Practical implicationsThe framework provides guidelines in order to measure, analyze and improve the effectiveness and the efficiency of the process.Originality/valuesThis is the first framework for measuring the S&OP process that includes detailed measures for each step of the process, for the outcome of the process as well as how to conduct the process itself.
Jonsson, Patrik; Mattsson, Stig-Arne
2016 International Journal of Physical Distribution & Logistics Management
doi: 10.1108/IJPDLM-07-2016-0186
PurposeThe purpose of this paper is to examine the inventory performance effect of advanced material planning modes and analyse how internal and external contextual difficulties moderate this relationship. This study also identifies avenues for future research.Design/methodology/approachThe empirical analysis uses a survey of material planning for purchased items in 292 Swedish manufacturing and wholesaling companies. Three dimensions of inventory performance are dependent variables: material planning performance, inventory turnover rate, and service level.FindingsAdvanced material planning modes are directly associated with material planning performance, but this study could not verify direct associations with inventory turnover rate and service-level performances. External and internal contextual difficulties have direct effects on all inventory performance dimensions and moderate the inventory performance effect of advanced material planning modes. The moderating effect is stronger in non-difficult contexts, for which advanced material planning has significant inventory performance effects. Demand- and human-related contextual dimensions are especially critical.Practical implicationsThe study identifies the following guidelines for companies to consider in order to unlock the potential of advanced material planning: consider full implementation of advanced material planning in non-difficult contexts; minimise the plan variability effects of high parameter revision and planning frequencies; minimise the need for, and use of, manual modification of planned orders before release; reduce demand uncertainty and variability; and secure appropriate human skills and working time.Originality/valueThis study somewhat contradicts the literature on material planning by not finding a direct positive effect on any inventory performance dimension from analytical design of order quantities and safety stocks. The research adds to the literature by identifying direct and moderating effects of external and internal contextual difficulties on all three-inventory performance dimensions. The relative importance of managing automatic order release identified in the study motivates future research as the effect has not been previously highlighted in the literature. Accordingly, avenues for future research and an agenda for practice-oriented research are suggested.
Papert, Marcel; Rimpler, Patrick; Pflaum, Alexander
2016 International Journal of Physical Distribution & Logistics Management
doi: 10.1108/IJPDLM-06-2016-0151
PurposeThis work analyzes a pharmaceutical supply chain (PSC) in terms of supply chain visibility (SCV). The current good distribution practice (GDP) guideline demands increased visibility from firms. The purpose of this paper is to propose a solution for SCV enhancements based on automatic identification (Auto-ID) technologies.Design/methodology/approachThe authors qualitatively analyze data from ten case studies of actors in a PSC. A review of Auto-ID technologies supports the derivation of solutions to enhance SCV.FindingsThis work shows that the functionalities of Auto-ID technologies offered by current practical monitoring solutions and challenges created by the GDP guideline necessitate further SCV enhancements. To enhance SCV, the authors propose three solutions: securPharm with passive radio frequency identification tags, transport containers with sensor nodes, and an SCV dashboard.Research limitations/implicationsThis study is limited to a PSC in Germany and is therefore not intended to be exhaustive. Thus, the results serve as a foundation for further analyses.Practical implicationsThis study provides an overview of the functionality of Auto-ID technologies. In juxtaposition with the influence of the GDP guideline, the use of our Auto-ID-based solutions can help to enhance SCV.Originality/valueThis work analyzes a PSC in Germany, with consideration given to the influence of current legislation. Based on a multiple-case-study design, the authors derive three Auto-ID-based solutions for enhancing SCV.
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